Across India, it is difficult to locate women IFAs as they are so few in number. But it is all the more ironic because the average woman IFA is generally more successful than her male peers. Jayshree Pyasi tries to get to the bottom of this mystery
“Women connect better emotionally”
Neha Khemlani of Comsol Financial Solutions is among the top ten advisors in Mumbai and she feels that women have a natural advantage as they show more sensitivity and understanding.
“People have come to see women IFAs as doctors. Both men and women feel that they can let their guard down in front of woman particularly at a time of financial stress.”
“Women do not push products”
Massarat Mona Fakih, Allegience Advisors is even more concise on why more people are discussing their financial situation with women.
“Women are considered more trustworthy because they do not push products. Women are more inclined to suggest the right product.”
With globalization and liberalization the attitude of women has also become global and liberal. Women of all ages have become aware of their finances and are taking control. According to the Centre for Economic and Business Research it is predicted that women will own 60 per cent of personal wealth in developed and some developing nations by 2025.
This growing force of rich women is generally ill-served by the traditional wealth management industry which was created "by men, for men''.
Apsara Shetty, an IFA who runs a boutique advisory business in Mumbai says that she is witnessing first hand a growing band of women who are taking control of their finances.
“We are seeing women wanting to get involved in how finances are set up, rather than waiting until they are widowed and faced with a whole host of issues they don't understand,'' says Apsara.
Women IFAs are estimated to be less than 5 per cent of IFAs in India. Though the number is small, their success is big. "This is symbolic of a significant change happening in our sector. Women have proved themselves to be outstanding advisors at the top of their profession and are amongst the best qualified,'' she says.
With their focus on holistic and long-term advice, they give tremendous confidence to the public. Neha says that financial advice needs of the two sexes are identical, but for some reason many women find they want to get that advice from another woman.
"Women aren't different in their financial needs - it is all about wealth management and the issues are the same for both sexes,'' she says.
Massarat reckons that women are slightly more cautious investors than men and better at preserving their wealth once they have got it. They do not allow their egos to get in the way.
"Women are more conservative. It is something to do with nurturing and protecting your funds. And women do not allow their egos to get in the way,'' concludes Massarat.
